DETERRENT Act

Increased Transparency for the Public: The bill requires the Secretary to establish and maintain a searchable, public database containing disclosure reports regarding foreign gifts and contracts. (Section 2(d)(1))

Enhanced Information Sharing for National Security: The Secretary is required to transmit unredacted disclosure reports to several high-level agencies, including the FBI, CIA, and Department of Defense, to facilitate information sharing. (Section 2(e))

Standardized Institutional Policies: The Act mandates that institutions maintain specific policies and databases to identify and manage potential information gathering by foreign sources through espionage. (Section s 3(a)(1))

Accountability for Higher Education Institutions: The bill provides for investigations and civil actions by the Attorney General to ensure institutions comply with new disclosure and contract requirements. (Section 4(a)(1))

Burden on Institutions via Increased Requirements: Institutions are required to maintain complex internal policies, designate compliance officers, and maintain specific databases for both the institution and their faculty/staff. (Section 3(a)(1))

Financial Penalties for Non-Compliance: Institutions face significant fines for violating reporting requirements, with some fines reaching up to 20 percent of their total Federal funds received under the Act. (Section 4(a)(4))

Restrictions on Contracts: Institutions are prohibited from entering into contracts with certain foreign countries or entities of concern, which may impact their ability to operate or partner with those entities unless a waiver is granted. (Section 2(b))

Potential Loss of Federal Funding: Institutions that are subject to multiple civil actions and fail to comply with requirements may be rendered ineligible to participate in federal programs for a period of not less than two institutional fiscal years. (Section 4(b)(2))